Voya Index Solution Portfolios

Voya Index Solution Portfolios The Target-Date Choice to Help Keep Retirement Goals on Track Holistic Retirement Solution Sophisticated Glide Path Design Passively Managed Funds Not FDIC Insured May Lose Value No Bank Guarantee I N V E S T M E N T M A N AG E M E N T

Holistic Retirement Solution: Helping Participants Keep What They ve Earned Most participants seek two things from their retirement plan investments: the ability to maintain their lifestyle in retirement while not outliving the accumulated assets. Voya s Index Solution Portfolios are designed to specifically balance the evolving risk-return profiles of participants as they age to maximize the probability of a successful retirement. Individuals investing in a target date fund within their workplace defined contribution (DC) retirement plan feel more confident about investing and meeting their retirement goals than those that don t use target date funds, according to survey results from Voya Investment Management. In the survey, Participant Preferences in Target Date Funds: Fresh Insights, 1 nearly two-thirds (63%) of target date fund (TDF) investors felt confident they would meet their retirement goals. In comparison, just under half (48%) of non-tdf investors felt confident about their retirement savings. Further reinforcing this confidence among TDF investors is the survey s finding that two-thirds (67%) felt they could turn their plan savings into an income stream at retirement, compared with just 46% of non-tdf investors. Overall, three-fourths (75%) of plan participants using TDFs reported that the investments alleviated the stress of retirement planning, increased their confidence that they were making good investment decisions (75%), and helped them feel more assured they could meet their retirement income goals (72%). One Solution for the Different Stages of a Participant s Savings Life Life Stage Young Savers (<40) Mid-Career (40 55) Nearing Retirement (55 65) In Retirement (>65) Key Objective Maximize wealth accumulation Reduce investment risk as savings grow Reduce volatility to preserve assets Protect assets and generate income that lasts as long as one lives Key Risks Not saving enough Volatility or low returns Significant capital losses and inflation Income needs outstrip assets Voya Index Solution Portfolios Maximize equity exposures to give you a head start on accumulating for retirement Slowly and steadily reduce equity exposure over time taking into account market conditions Continue to trim exposure to risky assets such that most conservative allocation occurs at retirement Diversify and actively manage asset mixes to lead to potentially greater income stability 1 Voya Investment Management, Participant Preferences in Target Date Funds: Fresh Insights, January 2016. Voya Investment Management conducted an online survey of 1,005 employer-sponsored retirement plan participants in September 2015. Of the respondents, 502 invested in a TDF within their plan while 503 did not. All respondents to the survey were currently contributing to an employer-sponsored defined contribution plan, were age 25 or older, and were the primary/joint financial decision maker for their account. The survey included plans of all employer sizes. The data has been weighted by household income, age and gender, among other variables, to more closely represent the demographics of the general retirement plan population. To prevent bias, Voya Investment Management was not identified as the sponsor of this research. 2

Voya Index Solution Portfolios Help Participants Overcome Common Obstacles to Successful Retirement Investing Retirement investors encounter a number of behavioral hurdles that threaten the success of an investment program. These include: Decision Paralysis. Faced with what appears to be a never-ending series of investment decisions, many plan participants choose the easiest course of action by doing nothing the worst option of all. Complacency. After an initial allocation to their retirement plan, participants often neglect their portfolios, which over time can result in asset allocations ill-suited to their changing risk profile. Emotional Influence. Research shows that participants despite their best intentions tend to get into and out of the market at very inopportune times based on emotion or by following the herd. The Emotional Impact of Investing Point of Maximum Financial Risk Peak Recovery Prosperity Thrill Euphoria Anxiety Thrill Euphoria Excitement Denial Excitement Economy Optimism Fear Optimism Desperation Relief Panic Hope Capitulation Depression Contraction Point of Maximum Financial Opportunity Expansion Time Source: Voya Investment Management This chart is for illustrative purposes only and does not represent an actual investment or the performance of any specific investment. 3

Voya Index Solution Portfolios are designed to help participants overcome these obstacles, relieving them of the guesswork and anxiety that can accompany retirement investing. Simple and Effective. Voya Index Solution Portfolios are designed to simplify retirement investing, with an all-in-one, fully managed portfolio that evolves with investors needs. Actively Managed. Our team of experienced portfolio managers automatically adjusts the portfolios strategic exposures as participants move through their careers, including tactical adjustments to manage risks in changing market conditions. Diversified. Voya invests in passive funds across asset classes to create diversified portfolios based on a participant s retirement date and risk profile. Voya Index Solution Portfolios are managed by our Multi-Asset Strategies and Solutions team following a rigorous and proven process to guide retirement assets to and through retirement. Disciplined Portfolio Construction 1 2 3 4 Glide Path Research and Construction Active Asset Allocation Forward looking long-term forecasts are made to construct portfolios that may outperform over the next market cycle The portfolios are adjusted based on shorter term market opportunities or risks Manager Selection and Portfolio Construction Funds are chosen to represent the asset classes and styles within an overall portfolio Passively managed strategies are utilized Portfolio Implementation and Risk Management Investment decisions are translated into the portfolios in a cost effective and consistent manner Disciplined rebalancing process designed to control risks and support investment performance Glide path seeks to optimize the equity allocation for participants at each point in time Average Participant s risk tolerance, expectations and actual behaviors are taken into account 4

Sophisticated Glide Path Design: Maximizing Accumulation Potential in the Early Years, Protecting Wealth in the Later Years In general, younger participants can afford to take on more investment risk in exchange for greater potential returns. Of course, the opposite is also true; as participants approach retirement, risk profi les must grow more conservative in order to protect the accumulated wealth. The manner in which a portfolio adjusts to this change in risk tolerance over time is known as its glide path and is a key differentiating feature among the many available target date funds and a primary determinant of their returns and volatility. Voya Index Solution Portfolios maximize asset accumulation in the early years of participants careers, taking aggressive equity positions. The portfolios shift emphasis to asset protection in later years, reducing risk and ultimately reaching their most conservative equity allocation of 35% at retirement to help investors hold onto what they have accumulated in a lifetime of saving. A Portfolio that Adjusts as Your Career Progresses Percentage of Portfolio Early Career Mid Career Pre-Retirement Retirement 100% 5 12 95 20 Fixed Income 80 88 Aggressive equity 28 80 allocation early in career 38 72 60 62 49 40 Reduction of equities aligned with changing risk profile 51 65 20 35 Accelerated risk Conservative allocation reduction in critical Equity in retirement pre-retirement years 0-45 -40-35 -30-25 -20-15 -10-5 0 5 10 15 Retirement Years Before Retirement Date Years After Retirement Source: Voya Investment Management This chart is for illustrative purposes only and may not refl ect the current allocations of the Voya Index Solution Portfolios. This illustration is intended to show how the Voya Index Solution Portfolios transition over time. The Importance of a Conservative Allocation Near Retirement Impact of a 20 Loss at Different Ages Ending Value at Retirement $800,000 $600,000 $400,000 $200,000 $0 $773,788 20% Loss at Age 25 Source: Voya Investment Management $678,313 20% Loss at Age 40 $600,826 20% Loss at Age 60 As retirement approaches, the ability of a participant s portfolio to withstand market shocks dramatically diminishes, as the balances are greater and the time frame in which to recover from losses is shorter. As the chart to the left demonstrates, a 20 loss at age 25 can be recovered a lot easier than the same loss at age 60. This hypothetical example is for illustrative purposes only. The chart assumes a 40-year career beginning at age 25 with a salary of $35,000, annual wage growth of 3, a contribution rate of 9 and an average annual return of 6 (except in the year of the 20 loss). 5

Portfolio Allocations for Each Stage of Retirement Planning Effective glide path design entails more than just adjusting a portfolio s weighting to equities and fixed income. To optimize asset allocation throughout participant life cycles, we drill down into sub-asset classes to identify those investments best suited for participant needs at that point in the life cycle. We believe our investments across a broad range of risk premiums can potentially increase risk-adjusted returns over the long term and enhance our ability to manage varying risks. A properly diversified portfolio can dampen the effects of this asset class performance volatility, which is critical in the context of a target date fund built to accumulate and preserve assets. At the beginning of participants careers, the Voya Index Solution Portfolios not only take on an outsized allocation to equities, they also invest more in riskier equity classes such as U.S. small cap and emerging markets; despite the greater potential for short-term volatility, these investments are likely to earn a greater market risk premium given the sufficiently long time horizon. In contrast, as participants move closer to retirement, the need to preserve wealth becomes more important than accumulating wealth. We address this concern not only by reducing equity exposure but also by shifting assets into less volatile asset classes while also emphasizing income-producing asset classes like high yield and other credit, as well as shorter-term inflation hedges, such as senior loans. Less Risk Through Broader Diversification 100% Percentage of Portfolio 80 60 40 Fixed Income 20 Equity 0-45 -40-35 -30-25 -20-15 -10-5 0 5 10 Equity U.S. Large Cap U.S. Mid Cap U.S. Small Cap International Years Before Retirement Emerging Markets U.S. Real Estate Global Real Estate Commodities Retirement Date Fixed Income Core Fixed Income High Yield Senior Debt Short Duration After Retirement There is no guarantee that a diversified portfolio will outperform a non-diversified portfolio. 6

Voya Investment Management Has a Leading Team in Asset Allocation Drawing on years of experience and an ongoing commitment to reliable investing, Voya Investment Management has the resources and expertise to help long-term investors achieve strong investment results. Voya Investment Management has been selecting and monitoring managers in asset allocation portfolios for more than 26 years. Our Multi-Asset Strategies and Solutions (MASS) team applies a process that incorporates numerous checks and balances to help maximize market opportunities while minimizing unnecessary risk. The MASS team consists of 25 dedicated investment professionals employing a rigorous investment process for the Voya Index Solution Portfolios that combines quantitative and fundamental analysis, including macroeconomic forecasting, proprietary optimization techniques and multiple layers of risk management. The team s experience spans domestic and international markets as well as non-traditional asset classes. Multi-Asset Strategies and Solutions Paul Zemsky, CFA, Senior Managing Director CIO of MASS Custom Portfolio Management Strategy Research Strategy Design Team Portfolio Implementation Management Risk Monitoring Rebalancing Cash Management Input Alpha Drivers Investment Services Asset Allocation Manager Research Client Reporting Communication Support 7

Voya Investment Management Equity Fixed Income Multi-Asset Strategies & Solutions Voya Investment Management is the asset management arm of Voya Financial, a leader in retirement services and investing. Our investment platform has been carefully built to help meet the long-term needs and goals of our clients, supported by more than 200 investment professionals. Our deep understanding of managing risk exposure and capturing unrecognized investment potential through intense fundamental research and skilled portfolio construction has delivered a consistency of results across continuously evolving market cycles. Today, we are proud to manage more than $219 billion in assets for investors. 1 82% of our assets outperformed their benchmark or peer median on a 3-year basis. 2 87% of our assets outperformed their benchmark or peer median on a 5-year basis. 2 86% of the time our portfolios outperformed their benchmark on a rolling 3-year basis. 3 Past performance does not guarantee future results. 1 As of 03/31/17, Voya IM assets of $219 billion include proprietary insurance general account assets of $89 billion calculated on a market value basis. Voya IM assets, as reported in Voya Financial, Inc. SEC fi lings, include general account assets valued on a statutory book value basis and total approximately $213 billion. 2 Metrics presented use pre-determined criteria to measure each individual investment product based on its ability to either A) rank above the median of its peer category; or B) outperform its benchmark index on a gross-of-fees basis. Generally speaking, the results for unconstrained, fully-active investment products were based on relevant peer category rankings while those of enhanced index, rules-based, risk-constrained, or client-specifi c investment products were based on benchmark-relative performance. Metrics are calculated on an annualized basis and includes mutual funds as well as pooled and separately-managed institutional portfolios that fall within our traditional (long-only) commercial book of business that remain open as of 03/31/17. If terminated and other accounts had been included, results may have differed from that shown. 3 Metrics are based on observations of rolling 3-year annualized returns over the last 30 months, calculated on an annualized, gross-of-fees basis, and includes mutual funds as well as pooled and separately-managed institutional portfolios that fall within our traditional long-only commercial book of business that remain open as of 03/31/17. If terminated and other accounts had been included, results may have differed from that shown. Source of performance returns and peer medians is Voya Investment Management but is based in part on data from Morningstar (mutual funds) and evestment (institutional composites). Further detailed information regarding these calculations is available upon request. A reliable partner committed to reliable investing For more information on Voya Index Solution Portfolios, contact your Financial Professional or visit www.voyainvestments.com. Variable insurance products and retirement programs are long-term investments designed for retirement purposes. If withdrawals are taken prior to age 59 ½, an IRS 10% premature distribution penalty tax may apply. Money taken from the annuity will be taxed as ordinary income in the year the money is distributed. An annuity does not provide any additional tax deferral benefit, as tax deferral is provided by the plan. Annuities may be subject to additional fees and expenses to which other tax-qualified funding vehicles may not be subject. However, an annuity does provide other features and benefits, such as lifetime income payments and death benefits, which may be valuable to you. Variable investments, of any kind, are not guaranteed and are subject to investment risk including the possible loss of principal. The investment return and principal value of the security will fluctuate so that when redeemed, may be worth more or less than the original investment. In addition, there is no guarantee that any variable investment option will meet its stated objective. All guarantees are based on the financial strength and claims paying ability of the issuing insurance company, who is solely responsible for all obligations under its policies. Insurance products, annuities and retirement plan funding issued by (third party administrative services may also be provided by) Voya Retirement Insurance and Annuity Company (Windsor, CT). Securities are distributed by Voya Financial Partners, LLC (member SIPC), Windsor, CT or through other broker/dealers with which it has selling agreements. Annuities may also be issued by ReliaStar Life Insurance Company (Minneapolis, MN), Voya Insurance and Annuity Company (Des Moines, IA) and ReliaStar Life Insurance Company of New York (Woodbury, NY). Variable annuities issued by ReliaStar Life Insurance Company are distributed by Voya Financial Partners, LLC. Variable annuities issued by Voya Insurance and Annuity Company and ReliaStar Life Insurance Company of New York are distributed by Directed Services, LLC. Only Voya Retirement Insurance and Annuity Company and ReliaStar Life Insurance Company of New York are admitted and issue products in the state of New York. There is no guarantee that any investment option will achieve its stated objective. Principal value fluctuates and there is no guarantee of value at any time, including the target date. The target date is the approximate date when an investor plans to start withdrawing their money. When their target date is reached, they may have more or less than the original amount invested. For each target-date portfolio, until the day prior to its target date, the portfolio will seek to provide total returns consistent with an asset allocation targeted for an investor who is retiring in approximately each portfolio s designated target year. On the target date, the portfolio will seek to provide a combination of total return and stability of principal. Stocks are more volatile than bonds, and portfolios with a higher concentration of stocks are more likely to experience greater fluctuations in value than portfolios with a higher concentration in bonds. Foreign stocks and small- and mid-cap stocks may be more volatile than large-cap stocks. Investing in bonds also, entails credit risk and interest rate risk. Generally investors with longer timeframes can consider assuming more risk in their investment portfolio. You should consider the investment objectives, risks, and charges and expenses of the variable product and its underlying fund options carefully before investing. The prospectuses contain this and other information regarding the variable product and its underlying fund options and can be obtained by contacting your local representative, by calling (800) 386-3799 or visiting www.voyainvestments.com. Please read the information carefully before investing. 2017 Voya Investments Distributor, LLC 230 Park Ave, New York, NY 10169 All rights reserved. (800) 992-0180 Individual Investors (800) 334-3444 Investment Professionals Not FDIC Insured May Lose Value No Bank Guarantee BSIG-INDXSOLPORT 052417 IM-0510-34268-0518 167625